Crescent Pure Essay

lunate was a non-alcoholic functional boozing with an impending launch in leash U.S. markets. PDB acquired Crescent in July 2013 the tipsinesss combination of muscle enhancing, hydrating, and all- constitutional ingredients made it a natural extension for PDBs existing organic product lines. However, PDBs management team disagreed virtually which of two practicable place strategies would maximize Crescents revenues. just about felt the inebriations energizing ingredients supported an muscularity-drink positioning, while others felt that due to the drinks hydrating elements, a sports-drink positioning made more sense.PDB planned to accede on a soft launch of Crescent in three western states (California, Oregon, and Washington) in January 2014. PDB project that these three states represented 15% of home(a) functional beverage demand. PDB was under pressure to define the product by October 1 in order to negotiate with beverage distributors and retailers, and to hire adverti sers to kick downstairs ad campaigns in time for the January 2014 launch. PDB planned to spend $750,000 on advert for Crescent in 2014 and used that figure as a bench mark earnings goal. If 2014 profits met or exceeded the goal, PDB would fund Crescents bailiwick expansion in 2015. US Beverage Industry Non AlcoholicIn 2013, the non-alcoholic beverage marketwhich included water, dairy, juice, soda, and functional beverages was estimated to be $131 billion and was projected to grow to $164 billion by 2018.2 This market had suffered due to restrained consumer expenditure during the economic recession, but the trend was slowly reversing as the economy recovered. legion(predicate) new products were launched in the segment by 2012. This wave of introductions was expected to overcompensate into the foreseeable future. Distributing food and beverage products, which involved moving products from a manufacturing identify into the hands of consumers, entailed many steps and varied by t he size and work of both retailers and manufacturers.In 2013, the largest U.S. retailers, known as big box retailers, very much had their own product distribution systems in place to handle purchasing, transportation, and stocking. differentiation was common among brokers and distributors, and they often forged relationships with retailers and manufacturers within a niche segment. Some distributors focused on organic products. Others developed expertise in cultural or gourmet clear uperings. When selling to consumers,retailers added an just mark-up of 40% to products purchased from distributors.Ingredients and Packaging packaged in a sleek, tall silver 8-ounce can with a unbiased crescent logo and lime leafy vegetable and orange accents, Crescent was a clear-coloured liquid. Its taste included a hint of fruit arid was is novel than most fruit juice, cola, sports drinks, and zipper drinks. Each can contained one 80-calorie serving. For flavour, Crescent contained lime juice, lemon juice, and small amounts of raw cane sugar and green tea.Ryans ApproachesEnergy Drinks Crescent delivers a boost of zilch to fighting fatigue and promote mental focus Positioning Crescent as on energy-enhancing beverage would reinforce existing perceptions from Oregon, who an informal consumer survey conducted at an outdoor music festival indicated consumers viewed energy as crescents most descriptive characteristic. Prices for energy drinks in the U.S. range from $2 to $5 per can, based on can size (8 oz., 12 oz., or 16 oz.) and retail outlet. The average monetary value for 8 oz. of energy drink is $2.99, supra our $2.75 price point. Thirty-four percent of the population said they consumed an energy beverage in the last six months the projected market for energy drinks in 2013 is $8.5 billion. Most advertising for energy drinks targets the most enthusiastic consumers, men 18 to 24 years old. Visually startling images conceptualize extreme sports participants opposite with loud rock music (when audio is available), reinforce a subject area that implies Our drinks help you do everything you want to do (even risky things).I think Crescents organic certification and minimal (as compared to leading competitors) caffein content provide strong differentiators for the energy market. Our drink is a better alternative to leading brands, whose substitute sweeteners and excessive levels of stimulants are likely to bustling a subset of consumers to switch to healthier options. Sports Drinks In 2012, the market for sports drinks was $6.3 billion 42% if sports beverage drinkers considered sports drinks anytime beverages and did not associate them only with exercise. They attracted a wider consumer base than did energy drinks, and regular users consumed them more often.Sports drinks come in a variety of sizes and average $1.00 to $2.00 for 12-oz. and 24-oz. containers, respectively. Generally, ingredientsinclude water, sugar, and salt. Crescents hydrating eleme nts, paired with the mental focus and energy boost, can enhance athletic performance. It can also stave off post-workout fatigue if consumed after exercise. (Fright and Razor, the market leaders, are touted as performance enhancing by extreme sports professionals.) Perhaps Crescents low sugar content and all-natural ingredients can appeal to health-conscious consumers seeking healthier anytime beverages that are free from artificial ingredients and sweeteners. Crescents $2.75 price point for an 8-oz can will be significantly higher than are those of similarly sized sports drinks, so our positioning and advertising will hew to build the case for its premium price.Levors Key FindingsTaste it appears Crescents taste appeals to most consumers. term some participants were notably more pleased with the taste, there were no adverse reactions. Energy content About half the participants were initially concerned about the energy component. Once their learned the energy content was equal to the caffeine found in a cup of coffee, only 25% remained concerned. cured consumers said that they liked that Crescent was a healthy alternative to high-calorie, syrupy energy drinks. Some younger consumers noted that Crescent had less energy than they had hoped. Customer profile Several consumers said that Crescent was exactly what they treasured in a beverage healthy ingredients, good taste, and a dainty pick-me-up. This interest appeared to reflect a focus on health and wellness, and transcended a specific age or demographic profile. Price Most participants knew the prices of belligerent options and figured that due to Crescents organic and energy ingredients, the price would be above $3.00. Most were happily surprised, but some questioned PDBs ability to deliver quality organic ingredients at $2.75.